Oct 15, 2020 - Energy & Environment

Pondering a new shale powerhouse

Data: FactSet; Chart: Axios Visuals
Data: FactSet; Chart: Axios Visuals

Shares of Concho Resources jumped yesterday on the heels of a Bloomberg report that ConocoPhillips might acquire the company.

Why it matters: The deal, if it happens, will be another sign that the pandemic-fueled industry downturn could bring new consolidation to the U.S. sector. Or maybe not.

It follows Chevron's deal to acquire the big independent producer Noble Energy announced in July (though that deal also provided Chevron new gas assets in the Mediterranean Sea).

And oil-and-gas producers Devon Energy and WPX Energy announced a merger in late September.

Go deeper: Analysts see potential Conoco-Concho deal as a 'strength-on-strength merger' (S&P Global Platts)

Go deeper